IvoryPython

So, Tether just got their full audit by KPMG US, and I have some questions, like, why is the company who audited Silicon Valley Bank for years prior to implosion, auditing the largest stablecoin company on Earth? For future reference, let’s start out by acknowledging in 2025, KPMG hired ex White and Case, Matt Miner, as their General Counsel and Vice Chair. Who is White and Case you may ask? They are an international law firm that helps companies, governments and financial institutions achieve their global ambitions. Funny, in 2024, White and Case Partner, Ladan Steward was publicly chirping about how the $XRP lawsuit was likely to reach the Supreme Court soon after she left her role as Crypto Unit Leader at the SEC. Now, KPMG, who fulfilled the recent audit for Tether has ex White and Case personnel working at KPMG as their Vice Chair. That’s oddly convenient as he just joined in 2025 and now he’s auditing Tether. You may ask, why would KPMG be concerning?👇 1. 2023 regional bank collapses: KPMG audited Silicon Valley Bank, Signature Bank, and First Republic Bank, issuing clean opinions shortly before their failures. A 2025 U.S. Senate Permanent Subcommittee on Investigations report criticized the firm for dismissing red flags (e.g., risk management issues, asset value drops, governance concerns, whistleblower allegations), long tenure with the banks, and a revolving door of personnel. KPMG has disputed the findings, noting other investigations did not attribute primary blame to the auditor. 2. PCAOB inspection data theft and exam cheating (2010s): Senior KPMG personnel obtained confidential information about upcoming PCAOB inspections (in part via a revolving door with the regulator) and altered audit workpapers to improve results. Separately, widespread cheating occurred on internal training exams (sharing answers and manipulating scores). In 2019, KPMG paid a $50 million SEC penalty, admitted facts, and agreed to remedial measures. Individuals faced criminal charges (some later vacated on legal grounds), license losses, and other sanctions. This was widely viewed as a major ethics breach. 3. Xerox accounting scandal: As Xerox's long-time auditor, KPMG was accused by the SEC of allowing the company to manipulate accounting to overstate revenues and earnings by billions. This contributed to a major restatement. KPMG faced SEC charges and settled related matters, including penalties and disgorgement. 4. Miller Energy Resources audit failures: KPMG issued clean audit opinions despite grossly overstated asset values (oil and gas interests valued far above purchase price). The SEC charged the firm and the engagement partner in 2017; KPMG paid over $6 million (disgorgement, interest, and penalty) and faced undertakings. Investors later settled a related class action for $35 million.